Economists WASHINGTON - we were anticipating the bad news on the job market when the Government publishes new figures for April Friday, after a week of data suggests slowdown of economic growth more than expected.
With the unemployment rate still a grinding 8.8%, a number of poor planned for posts established across the country last month to put new pressure on the Government to find other ways to help the unemployed.
Thursday, a surprising jump in the indicator of the weekly new claims sent unemployment concerns through the economy, helping push the Dow Jones Industrial Average fell by 1.1%.
New applications for unemployment insurance benefits jumped to a whopping 474,000 the week ending April 30, an increase of 10% of the prior week, the Ministry of labour has been reported.
The increase surprised most analysts who had expected a decline to 400,000 and sent a shudder through own capital markets and oil U.S. as investors make to a slowdown in the economy of the world.
Indeed, the number has increased in three of the past four weeks, ending balance drop in the number of new claims since August, when the economic recovery was gathering pace.
But the slowdown in GDP growth - only 1.8% in the first quarter - has translated into a disappointment for unemployed Americans in the hope of relief.
The jobless claims report is "a disaster" and portends statistics more dark Friday, Jon Ogg at 24/7WallSt.com warned.
"It is clearly heading in the right direction."
"Claims topping now expectations (and the threshold of 400 000) for four consecutive weeks, concerns grew suddenly the deterioration of the labour market," said Nomura Global Economics.
On average, analysts expect that the Ministry of labour will agricultural report 185 000 jobs have been created in April, a decrease of 14% between March and that unemployment will be unchanged at 8.8%.
Nomura forecasts were only 150,000 new jobs.
Deutsche Bank analysts were more optimistic, seeing anomalies distorted the most recent reports; They forecast that 200,000 jobs will be added in April.
In effect, a Ministry of labour official said special factors not taken into account by the seasonal correction could explain that the sharp increase Thursday claims numbers, including the impact of a late spring break and the dismissals of the industry because of the Japan quake-tsunami disaster.
Briefing.com analysts agreed.
"For the last four weeks, the external circumstances have caused the initial level of claims increase regularly," they said.
The Spike "is not the result of a weaker labour market...", but the poor seasonal adjustment factors.
Yet underlying cloud views was the lowest report that provided Wednesday by the ADP payroll firm, who said that the U.S. private sector has added a modest 179 000 jobs in April, below expectations.
Federal, State Governments and local cutting payroll to attempt to reconcile budgets, the private sector is expected to relay to hiring to get the economy on track.
But clearly ralentissement slowdown of growth, particularly in very important services sector means that private enterprise jobs rest engine in low gear.
Last week, Federal Reserve Chairman Ben Bernanke said unemployment continues to be a major problem and is main reasons that the Fed has kept its easy money policy.
He expressed endangered the long-term unemployment which said, was the worst since just after the second world war.
"Currently something like 45 per cent of all unemployed have been unemployed for six months or more," he said.
"And we know that the consequences can be very depressing because the people who are out of work for a long time, their skills tend to atrophy - they lose contact with the labour market, with others working."the networks that they have accumulated. ?
The Fed provides a slow decline in the unemployment rate to between 8.4 and 8.7% at the end of the year.
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